Swot Analysis of Nestle for Pakistan
SWOT ANALYSIS OF NESTLE FOR PAKISTAN
INTERNAL ANALYSIS
STRENGTHS
Nestle: * Has a long history of 145 years, it was founded by Henri Nestlé's in 1866. * Are low cost operators. This allows them to not only beat the competition by producing low cost products, but by also edging ahead with low operating costs. * Are major shareholder in the food industry of Pakistan * Are a socially responsible company. * Provide quality products. * Employ skilled labour and educated staff. * Have easily available products. “We have developed an intensive distribution strategy that brings our products to your door”. * Have an efficient research and development department. * Market a strong brand name, with a wide range of products. “Understanding that people in every country have different tastes and needs, we have developed a range of food and lifestyle products”. * Have developed a bulwark financial position. * Endeavour to operate modern cutting-edge production facilities, which enable Nestle to manufacture high quality standardised products. * Have developed an unmatched product and brand portfolio Strategy
WEAKNESSES
Nestle: * Have a limited presence in the organic food market * Depend on external sources for raw materials. * Are endlessly confronted with rising manufacturing costs. * Require a stronger marketing campaign to challenge the decreasing product awareness in the market. * Have struggled with launching expensive international brands due to their focus on lower income groups. * Is a relatively new company in Pakistan as compare to its rivals, such as Lever Brothers.
EXTERNAL ANALYSIS
OPPORTUNITIES
Nestle should: * Consider adopting a credit policy to increase sales. * Develop some farms of its own. * Explore the organic foods market. * Explore support from the Government of Pakistan for in-country investment opportunities.
THREATS
Nestle faces: * The growth
INTERNAL ANALYSIS
STRENGTHS
Nestle: * Has a long history of 145 years, it was founded by Henri Nestlé's in 1866. * Are low cost operators. This allows them to not only beat the competition by producing low cost products, but by also edging ahead with low operating costs. * Are major shareholder in the food industry of Pakistan * Are a socially responsible company. * Provide quality products. * Employ skilled labour and educated staff. * Have easily available products. “We have developed an intensive distribution strategy that brings our products to your door”. * Have an efficient research and development department. * Market a strong brand name, with a wide range of products. “Understanding that people in every country have different tastes and needs, we have developed a range of food and lifestyle products”. * Have developed a bulwark financial position. * Endeavour to operate modern cutting-edge production facilities, which enable Nestle to manufacture high quality standardised products. * Have developed an unmatched product and brand portfolio Strategy
WEAKNESSES
Nestle: * Have a limited presence in the organic food market * Depend on external sources for raw materials. * Are endlessly confronted with rising manufacturing costs. * Require a stronger marketing campaign to challenge the decreasing product awareness in the market. * Have struggled with launching expensive international brands due to their focus on lower income groups. * Is a relatively new company in Pakistan as compare to its rivals, such as Lever Brothers.
EXTERNAL ANALYSIS
OPPORTUNITIES
Nestle should: * Consider adopting a credit policy to increase sales. * Develop some farms of its own. * Explore the organic foods market. * Explore support from the Government of Pakistan for in-country investment opportunities.
THREATS
Nestle faces: * The growth